Wipro anticipates lower gross margins in short-term amid pandemic

NEW DELHI: IT major WiproNSE 0.14 % anticipates a decrease in its gross margins in the short-term due to lower demand for IT products and delay in customers’ purchasing decisions, resulting from the ongoing COVID-19 pandemic, as per a regulatory filing. The Bengaluru-based firm noted that the conditions caused by the COVID-19 pandemic can affect the rate of customer spending, including through cancellations or ramp-downs of existing projects, increased requests for furloughs and price discounts.

Such a scenario could “adversely affect our future revenues, operating results and overall financial performance,” Wipro said in its 20-F filing to the US Securities and Exchange Commission (SEC).